ORDER

By the Court.—The applications filed by the non-official petitioners for permission to file the special leave petitions are allowed.

Delay condoned.

2. Whether the acquisition of 156.903 hectares land of Village Shahberi, Pargana Dadri, District Gautam Budh Nagar by the Government of Uttar Pradesh in the name of planned industrial development in District Gautam Budh Nagar through the Greater Noida Industrial Development Authority (for short, “the Authority”) and subsequent allotment of major portion of the acquired land (over 90 hectares) to the builders including M/s. Supertech Ltd., M/s. Amrapali Smart City Pvt. Ltd., M/s. Panchsheel Buildtech Pvt. Ltd., M/s. SJP Infracon Ltd., M/s. Mahagun India Pvt. Ltd. and M/s. Gulshan Developers amounts to colourable exercise of power vested in the State Government under the Land Acquisition Act, 1894 (for short, “the 1894 Act”) read with the Uttar Pradesh Industrial Area Development Act, 1976 (for short, “the 1976 Act”) and the New Okhla Industrial Development Area (Preparation and Finalisation of Plan) Regulations, 1991 (for short, “the Regulations”) is the main question which arises for consideration in these petitions filed for setting aside order dated 12.5.2011 passed by the Division Bench of the Allahabad High Court in CMWP No. 500 of 2010 and batch.

3. Before adverting to the factual matrix of the case, it will be useful to notice the relevant provisions of the 1976 Act and the Regulations. The same are as under:

U.P. Industrial Area Development Act, 1976

2.(d) “industrial development area” means an area declared as such by the State Government by notification;

3. Constitution of the Authority.—(1) The State Government may, by notification, constitute for the purposes of this Act, an Authority to be called

“(Name of the area) Industrial Development Authority”, for any industrial development area.

6. Functions of the Authority.—(1) The object of the Authority shall be to secure the planned development of the industrial development areas.

(2) Without prejudice to the generality of the objects of the Authority, the Authority shall perform the following functions—

(a) to acquire land in the industrial development area, by agreement or through proceedings under the Land Acquisition Act, 1894 for the purposes of this Act;

(b) to prepare a plan for the development of the industrial development area;

(c) to demarcate and develop sites for industrial, commercial and residential purpose according to the plan;

(d) to provide infrastructure for industrial, commercial and residential purposes;

(e) to provide amenities;

(f) to allocate and transfer either by way of sale or lease or otherwise plots of land for industrial, commercial or residential purposes;

(g) to regulate the erection of buildings and setting up of industries; and

(h) to lay down the purpose for which a particular site or plot of land shall be used, namely for industrial or commercial or residential purpose or any other specified purpose in such area.

7. Power to the Authority in respect of transfer of land.—The Authority may sell, lease or otherwise transfer whether by auction, allotment or otherwise any land or building belonging to the Authority in the industrial development area on such terms and conditions as it may, subject to any rules that may be made under this Act, think fit to impose.

9. Ban on erection of buildings in contravention of regulations.—(1) No person shall erect or occupy any building in the industrial development area in contravention of any building regulation made under sub-section (2).

The New Okhla Industrial Development Area (Preparation and Finalisation of Plan) Regulations, 1991.

2(d) ‘Commercial Use’ means the use of any land or building or part thereof for carrying on any trade, business or profession, sale of goods of any type, whatsoever and includes private hospitals, nursing homes, hostels, restaurants, boarding houses not attached to any educational institution, consultant offices in any field, cottage